Market News

Virtual captives provide a streamlined alternative to traditional captive insurance companies, allowing organizations to retain risk, customize coverage, and reduce costs. They avoid the regulatory burdens of setting up a legal entity, offering flexibility in risk management and profit-sharing mechanisms while maintaining insurer support for claims and administrative tasks. Read More

Artificial intelligence is revolutionizing captive insurance, streamlining operations, and enhancing risk management. While AI brings efficiency and predictive analytics benefits, it also introduces risks like algorithmic bias, cyber-security threats, and compliance issues. Captives can offer tailored coverage to address these risks, positioning them to fill gaps in traditional insurance markets. Read More

Asia-Pacific reinsurers achieved a 9.2 percent return on equity, driven by improved investment conditions and stable underwriting in 2023. Many reinsurers are expanding overseas to boost profitability while maintaining strong capital positions and diversifying their business lines to better manage risks and reinsurance cycles. Read More

AM Best’s report shows that the US workers compensation insurance segment continues to be the most profitable line in the property and casualty market. Contributing factors include declines in loss frequency, favorable reserve development, wage growth, and effective workplace safety initiatives despite pricing decreases over the past 9 quarters. Read More

AM Best's report shows a 60 percent rise in downgrades for US insurers in 2023. Key factors include worsening market conditions, rising loss costs, and geographic risk. Personal lines insurers were heavily impacted, while commercial lines saw more upgrades despite an increase in downgrades for the year. Read More